Many gyms offer a mixed two-part tariff pricing scheme. One can join the gym and then have

Question:

Many gyms offer a mixed two-part tariff pricing scheme. One can join the gym and then have daily access at a very low cost (often, free); alternatively, one can choose not to join and pay a higher daily fee (perhaps $10 or $15). Explain the rationale for this dual pricing scheme. What must be true of the gym's customers' demands?
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Microeconomics

ISBN: 9781464146978

1st Edition

Authors: Austan Goolsbee, Steven Levitt, Chad Syverson

Question Posted: